Nokia Struggling on Multiple Fronts

5. MeeGo is no solution
On
June 21, Nokia released details on the latest smartphone in its flagship N-series,
the N9. Unlike previous N-series smartphones, the N9 will run the Linux-based
MeeGo operating system. Last year, Nokia was touting MeeGo as an ideal solution
for its top products. But this year, it's clear that just isn't the case.
MeeGo, while a fine operating system in its own right, is no iOS or Android.
Some can make the argument that Windows Phone 7 is a better platform. Simply
put, Nokia's decision to bet on MeeGo could prove to be a costly and
time-consuming detour.

6. The enterprise doesn't care

Though
the enterprise doesn't always get the attention it deserves, it's important to
note that that market segment is vastly important to the success or failure of
a mobile company. RIM, for example, is
doing well today because of the enterprise. But the corporate world doesn't
care about Nokia. By the looks of things, that won't change. That is not a good
thing for the company's future.
7. The smartphone designs aren't cutting it
When
one considers
Nokia's latest smartphone design, the N9, they will quickly find that the
company doesn't appear to know what it's doing with hardware. The N9 comes with
a 3.9-inch display, putting it in no-man's-land between the iPhone 4's 3.5-inch
display and the Motorola Droid X's 4.3-inch screen. Moreover, the device comes
with odd color choices, including cyan and magenta, and doesn't feature the
same polish as Apple's smartphone. Until Nokia delivers better hardware
designs, it will be in for trouble.

8. There's no confidence at the top
If
there is anything that an embattled company needs, it's a strong leader with a
confidence in his or her firm's ability to succeed. Unfortunately for Nokia,
it doesn't seem to have that. Earlier this year, Nokia CEO Stephen Elop
said that Nokia is "standing on a burning platform." He went on to say that the
company has "multiple points of scorching heat that are fueling a blazing fire
around us." And so far, his solution has been to partner with Microsoft and
hope for the best. That's not a good thing. And Nokia will suffer because of
it.
9. The financials are a mess
Though
Nokia has historically been a profitable company, its corporate issues are
starting to impact its financial performance. In fact, last month, it announced
that it wouldn't make a profit on phone sales in the quarter ended June 30, and
its overall revenue figures will be "substantially below" its initial
estimates. It went on to tell investors that it will no longer be "appropriate
to provide annual targets for 2011." Simply put, Nokia is in major financial
trouble and investors are losing confidence. If that's not a sign of a company
that's in deep trouble, what is?
10. It can't see the changing times
If
there is anything that Apple is good at, it's knowing what's coming next and
capitalizing on that. It did that with touch screens, and it's doing it again
with its upcoming iCloud service. Nokia, on the other hand, has been unable to
see the changing times. After finally seeing the need for change-two years too
late-it has been slow to react. As long as that's the case, there's simply no
way that Nokia can turn the tide and right its ship.
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Don Reisinger is a freelance technology columnist. He started writing about technology for Ziff-Davis' Gearlog.com. Since then, he has written extremely popular columns for CNET.com, Computerworld, InformationWeek, and others. He has appeared numerous times on national television to share his expertise with viewers. You can follow his every move at http://twitter.com/donreisinger.